Nagpur: After weeks of confusion and protests across Maharashtra, the state government has finally provided relief to consumers by eliminating the Fuel Adjustment Charge (FAC) from electricity bills. The Maharashtra State Electricity Distribution Company Limited (MSEDCL) issued a circular declaring the FAC as zero for the month of October, bringing down power bills for all categories — from industries to households and commercial users.
Earlier, industries were paying an additional 50 paise per unit, while commercial establishments were charged up to 90 paise per unit, and residential consumers up to 95 paise per unit as FAC. With the new order, October bills have dropped significantly, giving long-awaited relief to thousands of consumers.
CM Fadnavis’ Intervention Brings Results
According to Girdhari Mantri, Vice President of the Association of Industrial Development (AID), the issue was taken up directly with Chief Minister Devendra Fadnavis, who held detailed discussions with energy department officials and experts. Following his intervention, the department reviewed the matter seriously and acted to reduce the FAC. “The Chief Minister understood the hardship faced by industries and ordered immediate action. His decision has helped stabilize the situation,” Mantri said.
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03 Oct 2025
The FAC had become a major point of contention in recent months. After it was sharply increased in September, industries and trade associations across Maharashtra voiced strong objections. The dispute escalated, eventually reaching the Maharashtra Electricity Regulatory Commission (MERC) and even the High Court.
Relief for Solar and Power Tariff
In addition to the FAC waiver, the government has also restored earlier solar power regulations, offering a major boost to the renewable energy sector. The move is expected to revive investor confidence in solar projects.
Meanwhile, the Bombay High Court has stayed certain tariff changes, which could result in further reductions — in some cases, up to ₹1 per unit — for residential and commercial consumers.
Government and Consumers Both Benefit
Officials said the revision not only benefits consumers but also helps the state government by restoring public confidence in the power distribution system. Even municipal bodies, street lighting systems, and public utilities stand to save costs.
Previous FAC Rates (September)
- Domestic (LT-1): 0.35 to 0.95 paise/unit
- Non-Domestic (LT-2): 0.65 to 0.90 paise/unit
- Industrial (LT): 0.40 to 0.50 paise/unit
- HT Industrial: 0.50 to 0.65 paise/unit
- Agriculture: 0.30 paise/unit
- Public Water Works: 0.45 paise/unit
- Railway/Metro: 0.45 paise/unit
- Government/Public Services: 0.60 paise/unit
The FAC waiver marks a major turnaround in the state’s power tariff policy. For now, both industries and small consumers are breathing a sigh of relief — their bills are lighter, and their faith in the system a little stronger.
